FabSwingers.com forum: Equity release

By (user no longer on site) OP
over a year ago

Anyone done some sort of equity release to free up funds to pay off other debts?

Appreciate your effectively making the term longer but with the Chance of being made redundant before Xmas I thought it could be an option to have as little outgoings as possible for when/if I need a new job.

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By *partharmonyCouple
over a year ago

Ruislip

You can't do Equity Release until you are 55.

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By *llaboutthewifeCouple
over a year ago

Cardiff

You can remortgage for a higher amount is your property value stacks up as does your income.

Has your property gone up in value since original mortgage?

Jo x

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By (user no longer on site) OP
over a year ago

That buggers that idea lol

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By (user no longer on site) OP
over a year ago

"You can remortgage for a higher amount is your property value stacks up as does your income.

Has your property gone up in value since original mortgage?

Jo x"

Yeah by quite a lot, maybe near 100’000

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By *allySlinkyWoman
over a year ago

Leeds

You could sell your property and downsize ?

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By *occerstar579Man
over a year ago

Harrogate

"You can remortgage for a higher amount is your property value stacks up as does your income.

Has your property gone up in value since original mortgage?

Jo x

Yeah by quite a lot, maybe near 100’000"

Remortgage while you're still employed. Any changes of employment / earnings may affect your potential to borrow more.

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By (user no longer on site)
over a year ago

be very careful with this look good when they show the figures and if you have no one to leave anything too it dont matter but always thought if the insurance companies push something so hard it cant be a good deal i made a tentative inquiry last year i now get at least 2 letters a week plus loads of e mails

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By (user no longer on site) OP
over a year ago

I love my house, more so the location so don’t really want to move or downsize, I want my cake and eat it I know lol.

I could be ok and am maybe over thinking things but with payoffs looming I’d just like to go into consultation know I have bills and a mortgage and not need to worry about credit cards and loans.

Worth speaking to a financial advisor?

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By *elnkazCouple
over a year ago

cheshire

Yes we have just done it. As said you have have to be 55 have good equity and not a big mortgage as you have to pay that off first . It isnt cheap by anymeans the upfront costs which come off your monies and the amount you owe after 25 yrs but for us we used it to do te house up and pay off some small existing debts we both had before we met. . Look into properly and get few quotes ..k

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By *elnkazCouple
over a year ago

cheshire

"Yes we have just done it. As said you have have to be 55 have good equity and not a big mortgage as you have to pay that off first . It isnt cheap by anymeans the upfront costs which come off your monies and the amount you owe after 25 yrs but for us we used it to do te house up and pay off some small existing debts we both had before we met. . Look into properly and get few quotes ..k

"
bloody hell just noticed your age tooooo young. Maybe look at remortgage then .k

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By *oft_SensualTV/TS
over a year ago

Yorkshire

Regular eating of cake makes you fat!

You'd be better selling up, downsizing and investing anything left over in a rental property.

The stock market is very volatile at the minute, but it's probably a good time to buy cheaply or invest in pharma via a SIPP.

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By (user no longer on site) OP
over a year ago

Selling the house is really my last option, means a lot to me and as I said the area il never get again, really means a lot.

I think I’m right in saying that you can’t remortgage debt that has a lower interest rate than than the mortgage, in which case I’m screwed that way too. Fingers crossed I keep my job ??

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By *llaboutthewifeCouple
over a year ago

Cardiff

"Selling the house is really my last option, means a lot to me and as I said the area il never get again, really means a lot.

I think I’m right in saying that you can’t remortgage debt that has a lower interest rate than than the mortgage, in which case I’m screwed that way too. Fingers crossed I keep my job ?? "

Speak to a mortgage advisor and IFA, depends also if you are tied into a fixed term with current lender.

But it may work out more expensive than you think depending on the remaining mortgage term too.

Your current lender may also offer a further advance based on the increase in property value, but your earnings must support this too.

But worth exploring

Good luck whatever you decide

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By (user no longer on site) OP
over a year ago

Any financial advisors on here? Lol

Thanks everyone for the advice

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By *acey_RedWoman
over a year ago

Liverpool

I've heard of people temporarily only paying the interest on a mortgage. This could give you most disposable income for a while to pay off debts or if you're struggling financially.

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By (user no longer on site) OP
over a year ago

"I've heard of people temporarily only paying the interest on a mortgage. This could give you most disposable income for a while to pay off debts or if you're struggling financially. "

Another option to explore, thanks

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By *sGivesWoodWoman
over a year ago

ST. AUSTELL, CORNWALL

My ex lodger tried to do an equity release on my property, only found out the year after she left when they did a follow up, the rates were horrendous. You end up paying what you release and the same on top again.

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By *rHotNottsMan
over a year ago

Dubai & Nottingham

You obviously need to really careful with this, it’s not for everyone, but the folks on the property developer forums with cash will do much better deals than the standard equity release products tailored to your specific needs. It’s all legit you get your own solicitor etc , You can negotiate very specific clauses like getting your mortgage and bills paid for 18 months as part of the transition arrangement

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By *rHotNottsMan
over a year ago

Dubai & Nottingham

"My ex lodger tried to do an equity release on my property, only found out the year after she left when they did a follow up, the rates were horrendous. You end up paying what you release and the same on top again. "

Exactly.... those standard products are a total rip off, sure they are regulated, but a grand on a decent solicitor will be much better spent in the long run with a bespoke (unregulated) deal

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By *hunderstruckMan
over a year ago

Northampton

Why not take a mortgage holiday you can have six months or a year with no penalties

if you haven’t missed any payments etc

It’ll add a tear at the end and free up a monthly outgoing

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By *sGivesWoodWoman
over a year ago

ST. AUSTELL, CORNWALL

Exactly.... those standard products are a total rip off, sure they are regulated, but a grand on a decent solicitor will be much better spent in the long run with a bespoke (unregulated) deal "

I had no knowledge of her doing this, she had tried to commit fraud unfortunately. Basically, if I hadn't have had a letter and found out, she could have left me with a lifetime mortgage for about 50k as she had applied for the maximum amount.

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